Amazon Tries to Open 1,500 Small Warehouses in US Suburbs: Report


Reportedly, Amazon wants to pad its real estate portfolio, not interested in abandoned department stores.

Via AFP Getty Image

Reportedly, Amazon.com Inc. aims to open 1,500 small warehouses across the US – many of them in suburban locations – as it raises bets in its fight against Walmart.

The Seattle-based retail giant, which cannot be capped with demand for basic items such as toilet paper and milk when it was caught flat-footed during the epidemic, is expanding its distribution capabilities with more hubs in cities and suburbs , A report by Bloomberg.

Amazon AMZN,
-2.47%
Chief Executive Officer Jeff Bezos is investing billions in these new warehouses and improving the company’s transportation capabilities, Bloomberg said.

Due to increased demand for online items in the early days of the epidemic, Amazon struggled to fulfill its two-day delivery promise from key members. But since then 175,000 workers have been hired who have brought the company back on track.

Walmart WMT,
-0.80%
And target TGT,
-0.72%
More recently with Walmart, launching Walmart Plus, with Amazon Prime responding to it, has combined its game with its game through a vast network of stores. Walmart Plus costs $ 21 less than Amazon’s $ 119 annual subscription price, but requires a minimum $ 35 purchase for free delivery.

Reportedly, Amazon wants to pad its real estate portfolio, not interested in abandoned department stores.

According to the report the Struggling Department Store, which is closing sites including JCPenney, is a “last resort option” for the Seattle-based giant, citing anonymous sources.

In the New York metro area, Amazon purchased two former Fairway Market stores in New Jersey, but it is unclear what those spaces will be used for because Amazon did not disclose that information in court filings in the Fairway bankruptcy case .

This report originally appeared on NYPost.com.

    .